What is Project Governance
Project governance is the framework within which project decisions are made and is a critical element of any project. The framework comprises:
- The decision-making structure
- The people within the structure
- The information that informs them
The project should have one person who is accountable for its success and this person should be the constant through the life of the project. This person is known as the Project Owner who represents the business (not to be confused with the Project Manager) and is accountable for the success of the project.
What is the difference between Project Governance and Project Management?
When preparing a project, it is important not to confuse Project Governance with Project Management. Project Governance looks to increase the success rate of a project. It provides a way for directors and senior managers to ensure their strategies are implemented and accountability is taken.
Project Management is the application of skills to fulfill the project requirements. This is the area that involves planning, organizing, monitoring and controlling the project activities in order to complete the project to specification and detailed requirements within a specified time scale.
Why is Project Governance important?
PwC reported that in the UK 45% of capital projects are delayed with over 90% of these being for failure due to managerial aspects. Less than 10% failed for technical reasons which shows that companies have the ability and skills to complete the project but need to be far more organized in their approach to ensure successful and timely completion. This is where Project Governance is essential.
Effective Project Governance Is not only good practice, it also ensures that:
- Trust is built with the client
- Client KPI’s are met
- Profit margins are maintained
- The company’s reputation is enhanced
- Leads to more referrals
JCW employs Project Governance
As our clients become more discerning and clearer in their requirements with regard to works to be carried out and their delivery, companies such as ourselves need to be more in tune with their needs. Following Project Governance not only means that both us as an installation service provider and our clients have a clear project goal, it also gives us a solid platform and clear methodology for the project team to then work from.